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Live animal exports to Egypt resume

MARK COLVIN: The Australian live animal trade to Egypt is to resume, despite a history of cruel treatment of sheep and cattle. The trade was suspended after an animal rights group released a series of videos showing the cruel handling and slaughter of cattle in two Egyptian facilities.

But the Federal Agriculture Minister Barnaby Joyce today announced the reopening of the trade, under strict welfare regulations. The decision has pleased farmers but angered the RSPCA, as Caitlyn Gribbin reports.

CAITLYN GRIBBIN: Australia's live export trade with Egypt was suspended after a number of reports of cruelty.

BIDDA JONES: There've been a series of problems with export to Egypt over more than a decade. The investigation that's just been published this week revealed there was clear cruelty in terms of the handling and slaughter of animals, and in particular at one of those abattoirs.

BARNABY JOYCE: I'm very welcoming of the fact that we now have the capacity to continue to drive forward our markets - driving them forward in South-East Asia, driving them forward now in the Middle East. And this is a process that allows agriculture to really earn its title as the fifth pillar of our nation's economy - a pillar that is turning around the financial outcomes of not only the agricultural sector, but our nation in general.

CAITLYN GRIBBIN: Historically, Egypt has been a valuable market for Australian live sheep and cattle exporters. At the peak of the trade in 2000, half a million live animals were sold to Egypt. But no sheep have been traded since 2006, or cattle since May last year, because of animal cruelty incidents.

Barnaby Joyce says those concerns have now been addressed and the two countries have agreed to implement the Exporter Supply Chain Assurance System, or ESCAS. It makes Australian exporters responsible for the welfare of Australian livestock up until the point of slaughter.

BARNABY JOYCE: It will be watched over and regulated to best of our ability. But we can never make promises that would be insincere and say, from this point forward, there will never be another drama in this sector. I'm not going to make that promise. I'm going to say that we're going to manage these issues as they occur.

BIDDA JONES: It was the first country that had a closed loop system - that is basically the essence of what ESCAS provides - and yet even within that system the investigation last year found that there were systemic problems in terms of competency of slaughtermen and the adequacy of the equipment involved.

CAITLYN GRIBBIN: The live exporting industry says animal welfare has been addressed by the two governments.

Alison Penfold is the chief executive of the Australian Livestock Exporters Council.

ALISON PENFOLD: We of course put a suspension on it in the face of some intolerable cruelty that we saw in May 2013, but the decision by Government to move the market into ESCAS and getting clarity around HGP (hormonal growth promotant) freedom has enabled industry to move forward on the announcement made by the Minister today.

CAITLYN GRIBBIN: As for Australian farmers, they're always happy to have another export market. But there are concerns there may not be enough sheep to meet Egyptian demands.

Peter Boyle farms at York in Western Australia and is one of the country's largest live sheep exporters.

PETER BOYLE: The supply where it is very tight now and, to me, it's going to put a lot of competition to the market, and just hopefully we won't price ourselves out of the market in the future.

CAITLYN GRIBBIN: Why are the numbers of sheep so low?

PETER BOYLE: The disruption we had to the market two years ago now, when the prices halved, it certainly destroyed people's confidence, and a lot of people have gone out of sheep or reduced their numbers. It will only take us two or three years and we'll be back into full production and we can handle it, but in the meantime, it might get quite short, and the people who have got sheep will be able to reap the reward.

CAITLYN GRIBBIN: Are you completely confident that Egypt will be a humane export destination for live sheep, despite the history of cruelty?

PETER BOYLE: Ah, very tough question. One would hope that things are improving. If we're not there to lift the standard - so, once you lift it, we are demanding a higher standard of slaughter - it's becoming an acceptable standard.